The interpretation and nullity are the two remedies that the
Ecuadorian State will use in its attempt to annul the arbitration ruling of the
Court of The Hague issued on August 30, and for which Ecuador would pay an
unquantified compensation to Chevron.

The strategy was revealed yesterday by the State Attorney General, Íñigo Salvador, before the National Assembly’s Oversight Committee where he explained the incidence of the ruling against Ecuador.

Salvador added that they will present a request for interpretation
of certain passages of the arbitration award for the court to clarify, which
can be done in 90 days.

Once that term expired, he said, the Tribunal has 45 days to
resolve; then, the action that remains to the State is the action of nullity of
the award that must be on issues related to the lack of competence of the court
to have dictated it.

The prosecutor revealed that he has already arranged for the
state’s lawyers to begin the study of the two actions.

To make those requests there are 90 days, Salvador reiterated; the
interpretation will have to be resolved in 45 days and the nullity before the
Dutch courts may take up to four years. At the end of that nullity process, he
added, it will be known if the award is applied or not.

However, he clarified that the nullity action does not have
suspensive effect; that is to say that in spite of Ecuador’s present
arbitration will continue in its last phase, which is to quantify the
compensation.

He said that it is not known how long this process can take, but
it will not be less than two years. Only at that moment will Ecuador have the
obligation to pay the compensation, if the nullity is not declared.

Pablo Fajardo, attorney for those affected by Chevron, stressed
that the announcement of the Attorney General’s Office to opt for nullity and
interpretation of the ruling is the path that must be followed.

He also commented that if the nullity does not prosper, the
company will have to make the homologation of the award in the country that
wants to execute it, where Ecuador can still litigate.

The chairwoman of the Oversight Committee, María José Carrión,
said that it is striking that the ruling says that there was no transparency in
Ecuadorian justice, and that this must be investigated.

With the appearance of the prosecutor opens the door for new calls
to officials on the use of resources in promotional campaigns through the
Ministry of Communication; to the lawyers who took the case and the ex-attorney
Diego García.

Compensation

Four years, according to the State Prosecutor, Íñigo Salvador, could delay the process to determine the amount of compensation that Ecuador would have to pay to the Chevron company, in case the appeals for review and nullity of the arbitral tribunal’s decision The Hague that they present, they do not take effect. (I)